With just a few days left in the month, it appears that April will be a lost one for Paulson & Co.

The New York-based firm's flagship Advantage Fund is down 2.4% on the month, Reuters reports. April's losses, primarily on gold, have cut the fund's year-to-date gains to 1.3%.

Advantage lost money not only on physical gold, which is down 17% this year, including 13% this month, but on gold-mining stocks, some of which have done even worse. Still, despite gold's troubles—including its worst two-day decline in 30 years—Paulson has said it is sticking the precious metal as an inflation hedge.

Firm founder John Paulson reiterated his belief in gold on a conference call with investors this week, in which he also discussed another favorite: convertible bonds.

Paulson told investors that its Credit Opportunities Fund currently has a quarter of its assets in convertible bonds. The firm pointed to its investment in Realogy Holdings convertibles. That debt has since been converted to equity, and the stock has jumped 14% this year.

Paulson also told clients this week that his firm's mortgage-backed securities portfolio—20% of the Credit Opportunities Fund—has also done well.

From the current issue of

The testimony of former FBI Director James Comey came and went with more hype than harm to Donald Trump’s administration. The more important issue is whether Congress spent too much political capital to get comprehensive tax reform done by the end of 2017. The likelihood of significant policy changes is fleeting for the year. Some economists are even losing hope that tax reform will be completed by the midterm elections of 2018.